Social enterprises to enjoy more incentives

Updated: 14:39’ - 25/03/2015

A number of incentives would be given to social enterprises if a draft decree compiled by the Ministry of Planning and Investment to guide the implementation of the Enterprises Law’s provisions on social enterprises is approved.

Accordingly, the State would encourage and create favorable conditions for Vietnamese and foreign organizations and individuals to establish social enterprises, thus contributing to tackling social and environmental problems for the sake of the community.

Specifically, social enterprises would be given priority when participating in bidding for provision of public services funded or ordered by the State. They would also be entitled to the highest level of investment incentives and incentives for socialized activities in education, vocational training, healthcare, culture, sports, environmental protection, etc.

In addition, they would be entitled to exemption from corporate income tax correspondingly to profit amounts annually retained for reinvestment in social or environmental targets as registered upon their formation.

According to the draft, social enterprises may receive assistance from foreign and domestic non-governmental organizations and other organizations and individuals to fulfill their social and environmental tasks.-